Recently, the Guangdong Branch of the People's Bank of China, Shenzhen Branch of the People's Bank of China, Guangdong Supervision Bureau of the State Financial Supervision and Administration Bureau, Shenzhen Supervision Bureau of the State Financial Supervision and Administration Commission, Guangdong Supervision Bureau of the China Securities Regulatory Commission and Shenzhen Supervision Bureau of the China Securities Regulatory Commission The bureau jointly issued the newly revised "Implementation Rules for the "Cross-border Wealth Management Connect" Business Pilot in the Guangdong-Hong Kong-Macao Greater Bay Area.
Experts believe that as an important measure to implement the country's decision-making and deployment of the Guangdong-Hong Kong-Macao Greater Bay Area, the "Implementation Rules" will further release pilot policy dividends and make the Greater Bay Area more convenient while promoting the interconnection of the financial markets of Guangdong, Hong Kong and Macao by optimizing relevant institutional arrangements. District residents enjoy high-quality financial services, helping to build a high-quality living circle in the Guangdong-Hong Kong-Macao Greater Bay Area.
The "Cross-border Wealth Management Connect" business has attracted market attention since its pilot launch in 2021. As of the end of 2023, a total of 67 banks and 69,000 individual investors in the Guangdong-Hong Kong-Macao Greater Bay Area have participated in the "Cross-border Wealth Management Connect" business pilot, and the cumulative amount of cross-border remittances of related funds has been 12.8 billion yuan. In 2023, the amount of cross-border remittances of funds related to the "Cross-border Wealth Management Connect" business pilot was 10.59 billion yuan, a year-on-year increase of 3.8 times.
The newly revised "Implementation Rules" continue to improve the convenience of the pilot by optimizing investor access conditions, expanding the scope of participating institutions, expanding the scope of qualified investment products, appropriately increasing the individual investor quota, optimizing publicity and sales arrangements, etc., and further Meet the diverse needs of investors in the Guangdong-Hong Kong-Macao Greater Bay Area.
Specifically: First, optimize investor access conditions. Adjust the conditions for participation of mainland investors in the "Southbound Link" business, and add the optional condition that mainland investors have "average annual income in the past three years not less than 400,000 yuan" to support more residents in the Greater Bay Area to participate in the pilot. The second is to expand the scope of participating institutions. New securities companies will be added as pilot entities to directly provide services to mainland, Hong Kong and Macao investors in the "Southbound" and "Northbound" Guangdong-Hong Kong-Macao Greater Bay Area. The third is to expand the scope of eligible products. The RMB deposit products of mainland selling banks will be included in the scope of eligible products for "Northbound Connect", and the risk level of public securities investment funds will be expanded from "R1 to R3" to "R1 to R4" (excluding commodity futures funds). The fourth is to appropriately increase the individual quota of investors. The individual investor quota will be increased from 1 million yuan to 3 million yuan to further meet the investment needs of individual investors in the Guangdong-Hong Kong-Macao Greater Bay Area. The fifth is to further optimize publicity and sales arrangements. Refine and clarify the business conduct regulations of domestic sales institutions and domestic cooperative institutions, and guide financial institutions to provide high-quality financial services to residents of the Greater Bay Area.
Liu Xiangdong, chief analyst of Dongyuan Investment, believes that the newly revised "Implementation Rules" will further enhance the convenience of the "Cross-border Wealth Management Connect" business pilot, expand the scope of participating entities and products, expand policy coverage, and further promote financial services in the Guangdong-Hong Kong-Macao Greater Bay Area. Market interconnection will better support the creation of a high-quality living circle in the Greater Bay Area.
"The revised Implementation Rules also promote business cooperation between commercial banks and securities companies in the Guangdong-Hong Kong-Macao Greater Bay Area by further optimizing publicity and sales arrangements. Mainland commercial banks and securities companies in the Greater Bay Area can follow the revised Implementation Rules , cooperate more closely in publicity and sales, improve the service experience of investors, effectively promote the connection of financial rules and mechanisms in the Greater Bay Area, and provide better financial services to residents of the Greater Bay Area." Liu Xiangdong said.
HSBC's relevant business leaders also said that the revised "Implementation Rules" will provide more residents in the Greater Bay Area with more diversified investment options, and investors can allocate assets more flexibly based on market performance and personal risk preferences. At the same time, the new measures will further enhance the attractiveness of "Cross-border Wealth Management Connect" as a cross-border investment channel for residents in the region and accelerate the development of its business scale.
Economic Daily reporter Ma Chunyang